Pakistan’s FPCCI Asks Government to Introduce Crypto Regulatory Framework

Nasir Hayat Magoon is the president of the Federation of Chambers of Commerce and Industry (FPCCI) in Pakistan, a politically significant country in South East Asia. Magoon recently claimed that according to the data projections and survey conducted by the federation, the current value held in cryptocurrencies by Pakistani digital investors is valued at $20 billion.

He shared the details with the local media outlets with official research paper documentation issued by FPCCI. The people in Pakistan are worried about the increasing rates of inflation and money devaluation. However, activists like Magoon are calling on the government to opt for crypto-related regulations rather than implementing a ban on the industry.

Due to the scare of COVID, 2021 has not been an easy year for any country. However, the data from Chainalysis Global Crypto Adoption Index reveals that Pakistan is considered the 3rd highest region in terms of cryptocurrency adoption. The country is followed by big economies like Vietnam and India.

It is worth noting that Pakistan shares a border with important commercial contributors in the region like India and China. Pakistan also has a good trade understanding with the Chinese government due to the CPEC agreement. Thus far, the Pakistan government has been able to act independently in terms of setting its financial and economic policies. However, the country has always been privy to the massive political pressure in the region.

The High Court of Sindh is the highest judicial body operating in the province, also inclusive of the largest metropolitan city Karachi. The HCS recently issued a directive for financial regulators like the Securities and Exchange Commission of Pakistan to ensure the submission of crypto-specific laws within three months.

The decree directly obliges the Ministry of IT to collaborate with SECP. The decree of HCS was issued in October last year, which means that Pakistan can surpass India in the matter of implementing crypto-related regulations. Governor of the State Bank of Pakistan, Reza Baqir, recently hinted that the central bank is working on a CBDC project.